Significant investments to expand and improve the efficiency of domestic PVC production have created an opportunity for Pakistan to earn USD 300 million through the export of surplus volumes and products.
Pakistan’s per capita PVC consumption currently stands at 1.2 kg versus a global average of 6.1 kg. Growth in our per capita consumption will be driven by rising per capita income, increasing urbanisation, and robust domestic manufacturing in the coming years. Through various customer engagement and market development initiatives, such as a retail outlet – thinkPVC, Engro Polymer & Chemicals Limited (EPCL) is actively promoting various standardised, high-quality PVC products.
At a media briefing, Mahmood Siddiqui, Vice President of Manufacturing of the Company, highlighted that “Since 2015, the Company has invested over USD 188 million in Plant expansion and other upgrade projects for higher efficiency, reliability, and diversification of operations. In 2021, EPCL enhanced its PVC capacity to 295,000 tons per annum, sufficient to fully cater to the local demand and achieve exports.”
Chief Commercial Officer at EPCL Muhammad Idrees said, “The Company is collaborating with TDAP to explore global markets for value-added PVC downstream products export. In the last two years, the Company exported surplus products worth USD 48 million to Turkiye and Middle Eastern markets, while import substitution of around USD 300 million contributed significantly toward solving Pakistan’s balance of payments situation. The downstream PVC industry can fully utilise its excess capacity and help earn USD 300 million in valuable foreign exchange by standardising and improving the quality of finished products.”
The Company’s 2030 vision is to become a globally-competitive PVC producer, prioritising exports and increasing the domestic per capita PVC consumption to international levels. As part of its business strategy, the Company is also looking to position PVC as the “Material of Choice” primarily emphasising value-added products.
Alas, for the Company to enact its plans and maximise the potential of PVC exports while also meeting increasing local demand, it is equally imperative for the Government to ensure a conducive business environment with the availability of the right policies and necessary utilities.